The Penn Virginia Resources Corporation is a large land holding company in southwest Virginia. Approximately 62 percent of their holdings are forested. The major objective of this study was to determine the economic feasibility of utilizing timber on Penn Virginia forest lands as a raw material for selected forest products. The study was conducted in three phases: (1) A market and resource analysis; (2) Estimation of the cost of harvesting and transporting timber from Penn Virginia lands to local processing facilities; and (3) An analysis of the economic feasibility of establishing new forest products markets utilizing Penn Virginia timber as the primary raw material supply. Results from phase one of the study indicated that approximately 116 wood-based industries are located within 50 miles of the Penn Virginia forest, and that the forest contains the resources to supply some of these existing markets. Phase two results were obtained using harvesting simulations. A harvesting system cutting conventional products and recovering residues was the most economical. A discounted cash flow analysis was employed in phase three of the study to examine the economic feasibility of establishing wood-based plants using Penn Virginia timber. Five mill types were analyzed: pallet mill, dimension mill, SHOLO mill, System 6 mill, and sawmill. Five sawmill configurations were examined. Results of this study phase indicated that the mill types showing the greatest potential for establishment using Fenn Virginia timber were the dimension mill, SHOLO mill, and scragg sawmill. All provided after-tax rates-of-return 0£ approximately 30 percent or higher. / Master of Science

M.S.

M.S.

Three related aspects of competition in the U.S. hardwood lumber industry were investigated. First, product and supplier attributes that are determinant in hardwood lumber purchase decisions were investigated within four segments of the market for hardwood lumber: Millwork producers, hardwood dimension and flooring producers, wood household furniture producers, and wood kitchen cabinet producers. Attributes with the highest determinant scores were: grading accuracy, supplier’s reputation, freedom from surface checks, competitive pricing, and within-load thickness consistency. The least determinant attribute was the presence of the suppliers logo or trademark. The importance of various attributes was generally consistent across the market segments and producers were relatively well attuned to the needs of lumber users. Lumber users were least satisfied with lumber quality. Lumber producers perceived users to be least satisfied with the availability of certain species. Business-level intended competitive strategy in the industry was investigated through quantitative identification of strategic groups in a sample consisting of the 100 largest U.S. hardwood lumber producers. Factor and cluster analyses were used to define strategic groups along the dimensions of cost leadership, focus, and differentiation. Five strategic groups were identified and examined as to strategic orientation and intra-group homogeneity. The differentiation dimension accounted for the greatest portion of strategic variation. Empirical evidence of the use of hybrid <i>Overall Cost Leadership/Differentiation</i> strategies was found—suggesting that strategic typologies that do not account for this strategy may not be applicable to a mature industry. Predicted strategic change in the industry concentrated on increasing differentiation orientation. Qualitative data concerning competition in the industry was obtained via in-person interviews with executives at twenty of the largest companies in the sample. ln general, the largest and smallest companies in the industry were found to be the most production oriented. Companies self-typed their competitive strategies using Porter‘s (1980) strategic typology. <i>Overall Cost Leadership</i> strategies were the most common followed by <i>Differentiation</i> and <i>Focus</i> strategies. The majority of companies interviewed competed for customers based on quality, customer service, and price—in that order of importance. Proprietary grading was an important competitive tool for larger companies. / Ph. D.

no abstract provided by author / Master of Science

no abstract provided by author / Master of Science

The objective of this study was to estimate the milk supply response of Virginia dairy farmers, including estimation of supply elasticities with respect to relevant prices. The supply response was estimated using linear regression techniques and quarterly data from 1965 through 1982. The hypothesis that producers are profit maximizers was not rejected. For the entire period the estimated supply responded positively to own-price changes, negatively to feed and cull-cow prices, and positively to technical change using time as a proxy variable. Estimated own-price elasticities for total and Grade A milk supplies were 1.19 and 0.94, respectively, and for Grade B milk supply was 2.11. Responses to own-price changes were completed within two years. The Chow test for structural change in the estimated coefficients of explanatory variables resulted in rejection of the hypothesis that supply responses were constant over the entire period. Producers continued to adjust supply positively to own-price changes for the years 1974 through 1982. However, estimated own-price elasticities for total, Grade A and Grade B milk supplies decreased to 0.84, 0 80 and 0.97, respectively. Technological efficiency, using time as a proxy, continued to contribute to increased output. Producers did not respond to feed price changes. Grade A supply response to own-price changes was completed within three years, and it took two years for total and Grade B supply to complete responses to own-price changes. / M.S.

The subscription economy — wherein firms offer products and services for recurring fees — has witnessed substantial growth in the last two decades. When valuing firms that rely on recurring revenue (hereafter recurring revenue firms), investors adopt valuation methods that prioritize future revenue over current performance, altering the earnings management incentives for these firms. I first document fundamental differences in recurring revenue firms: they tend to be smaller and younger, and they have greater revenue persistence, investment efficiency, and profitability. They experience more pronounced stock market reactions to revenue and earnings, but only when future revenue indicators (deferred revenue) are high. To align with growth-focused investor valuation methods, recurring revenue firms avoid premature revenue recognition to maintain a high level of deferred revenue. Instead, they cut discretionary expenses to meet earnings targets and excessively defer revenue to enhance their valuation. These insights underscore how earnings management incentives evolve in response to the changing economy.

M. S.

The recent disappearance of unpreserved Civil War battlefield sites under the press of private development has initiated new nation-wide preservation efforts of remaining unpreserved battlefield sites by both the public and private sectors. However, preservation efforts of Civil War sites are encumbered when little or no market incentive exists for private landowners to resist the more remunerative rewards of commercial development. This study quantifies the direct, indirect, and induced distributional economic impacts of battlefield preservation on local economies surrounding selected Civil War battlefield sites located in the Shenandoah Valley of Virginia. Distributional analyses examine the changes in economic activity (e.g., employment and personal income) within a region, and help to document the economic feasibility of battlefield preservation. Both private and government ownership and development of battlefield sites are considered. The study results indicate that preserving Civil War battlefields can have positive distributional economic impacts on the local economy, but whether or not these impacts justify battlefield preservation by the public or private sector is not established in this study. Distributional impacts are only one type of economic benefit that a battlefield park may contribute to the local economy. The nonmarket value of battlefield parks may provide more benefits to society than the market value of parks, and should be considered in the decision to preserve Civil War battlefields. / Master of Science